Denmark to Provide VAT Reduction or Exemption for Food

The Danish Ministry of Finance has announced that agreement has been reached on a broad framework to reduce the cost of living in the country, including food prices. The framework includes an annual allocation of DKK 6 billion to either reduce the VAT rate on all foods or provide a VAT exemption on fruits and vegetables. The approach is to be finalized by the end of 2026 so that the VAT reduct…